Summary

At the end of 2013, the European Parliament and the Council of the European Union reached an agreement regarding two regulatory proposals that will implement mandatory 2020 CO2 emission targets for new passenger cars and light-commercial vehicles in the European Union. The passenger car standards are 95 g/km of CO2, phasing in for 95% of vehicles in 2020 with 100% compliance in 2021. The light-commercial vehicle standards are 147 g/km of CO2 for 2020.

This update provides brief background to the agreement, details the key elements, summarizes the present situation, and outlines the expected effects of the regulations.